ORLANDO – The Federal Reserve this week raised its target interest rate to a 14-year high as it tries to reduce the highest inflation since the early 1980s. Amid these economic strains and consumer doubts, marketers that get behind their brands will be in better shape in the longer term.
“There’s still so much opportunity through media and advertising for businesses to drive growth through what can be a challenging economy,” Michael Law, chief executive of media agency Carat US, a unit of Dentsu, said in this interview with correspondent Tameka Kee at the ANA Masters of Marketing Conference.
“The theme of growth is really relevant to the marketplace just because there is an opportunity,” Law said. “Consumers are still buying and purchasing, and we just need to find ways to take advantage of that.”
Shift in Media Habits
U.S. consumers this year for the first time ever spent more of the television time with streaming video than with traditional broadcast programming. This shift brings greater media fragmentation that splinters audiences but also can help to improve ad targeting.
“Yhe world of TV has transformed in the consumer’s eyes. Nobody goes home to watch a specific channel as we may have identified it,” Law said, “but I think streaming has really opened up opportunities for clients.”
Less ad clutter helps to keep audiences engaged with the viewing experience, while more relevant ads feel less interruptive.
“You can reach more people than ever before, but you can connect with them in a way that feels more relevant to them,” Law said. “If we take advantage of all of the great things that streaming brings, it’s just going to make advertising that much more palpable to advertise.”
Connected television also can support greater interactivity, giving consumers a chance to respond to commercials and to shop from livestreams.
“You’ve seen across social channels the power of social media to drive commerce and you’re seeing this come to the big screen,” Law said. “People are more engaged in their television screen now holding the remote, holding their phone at the same time. And it’s a big consumer shift that TV is no longer just a simple lean-back experience.”
You’re watching “Assessing TV Performance in a Changed Landscape,” a Beet.TV Leadership Series produced at the 2022 ANA Masters of Marketing, presented by EDO Inc. For more videos from this series, please visit this page.